The proposed bill establishes the Headquarters Expansion and Development for Growth and Employment Program (EDGE Program) in Iowa, introducing new definitions and criteria for eligible businesses seeking tax incentives. Key terms such as "eligible business," "corporate headquarters," and "qualifying wage threshold" are defined, and businesses must demonstrate a global presence, significant revenue generation from outside Iowa, and comprehensive employee benefits to qualify. The bill also emphasizes that eligible businesses cannot merely relocate within the state and must adhere to various legal and operational standards. Additionally, it creates a qualifying wage tax credit aimed at incentivizing job creation and retention at corporate headquarters.

In conjunction with the EDGE Program, the bill repeals existing programs like the new jobs tax credit and the major economic growth attraction program, while establishing a new training fund for business incentives. It outlines a structured application process for tax incentives, requiring agreements between eligible businesses and the economic development authority that detail compliance criteria and penalties for non-compliance. The bill also mandates Iowa State University to produce biennial reports on electricity use growth and transmission needs, granting the Iowa Utilities Commission authority to obtain necessary information from public utilities. Overall, the legislation seeks to enhance economic development in Iowa by attracting corporate headquarters and streamlining training and utility planning processes.

Statutes affected:
Introduced: 423.3, 422.60, 533.329, 15.501, 15.506, 422.11A, 476.1A, 476.2, 476.20, 15.120A, 260E.3, 260E.5